Professional Documents
Culture Documents
DIGITAL
MARKETING
Dave Chaffey
Fiona Ellis-Chadwick
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10 9 8 7 6 5 4 3 2 1
25 24 23 22 21
Preface xiii
About the authors xxiv
Acknowledgements xxvi
Glossary 494
Index 523
Publisher’s Acknowledgements 531
Contents
Decision 7: Multichannel communications strategy 174 People, process and physical evidence in a
Decision 8: Online communications mix and budget 176 digital marketing context 218
Organisational issues of strategy implementation 177 People 219
Assessing different digital initiatives including Process 221
marketing technology 178 Physical evidence 222
The online lifecycle management grid 180 Case study 5 Spotify streaming develops new
Case study 4 ASOS shifts the focus of high-street revenue models 223
retailing to enhance the customer experience 181 Summary 226
Summary 184 Exercises 227
Exercises 185 Self-assessment questions 227
Self-assessment exercises 185 Exam and discussion questions 227
Exam and discussion questions 185 References 227
References 186 Weblinks 232
Weblinks 188
6 Data-driven relationship marketing
5 Digital branding and the using digital platforms 233
marketing mix 189 Learning objectives and topics 233
Learning objectives and topics 189 Introduction 234
Introduction 190 Concepts of data-driven customer relationship
What is the marketing mix? 190 marketing 236
Digital branding 192 Digital marketing insight 6.1
Success factors for online branding: brand The goals of marketing orchestration 238
advocacy 196 The challenge of customer engagement 239
Success factors for online branding: brand Benefits of using marketing automation to
identity 196 support customer engagement 239
Success factors for online branding: brand Customer lifecycle management strategy 241
names for online brands 197 Permission marketing 242
Product in a digital marketing context 198 Profiling leads with lead scoring and lead grading 246
1 Options for varying the core product Defining contact strategies 249
(online) 199 Data-driven marketing techniques 252
2 Options for offering digital products 200 Personalisation and mass customisation 252
3 Options for changing the extended product 201 Applying artificial intelligence and Big Data to
Digital marketing insight 5.1 support data-driven marketing 253
Zoom freemium products 201 Artificial intelligence for marketing 254
4 Conducting research online 202 Using data analysis and targeting techniques to
5 Speed of new product development 203 increase customer loyalty and value 258
6 Speed of new product diffusion 203 Determining what customers value 258
Price in a digital marketing context 205 The relationship between satisfaction and loyalty 259
Digital marketing insight 5.2 Measuring the voice of the customer in digital
Beauty Pie has created a luxury brand at discount media 260
prices 206 Using measures to differentiate customers by
1 Increased price transparency 207 value and engagement 261
2 Price uncertainty 208 Lifetime value modelling 262
3 Innovative pricing approaches 209 Product recommendations and propensity
4 Alternative pricing structure or policies 211 modelling 268
Place, channels and distribution in a digital Using social media to improve customer loyalty
marketing context 211 and advocacy 269
1 Place of purchase 212 What is social media marketing and why is it
2 New channel structures 214 important? 271
3 Channel conflicts 214 What are the main social media platforms? 272
4 Virtual organisations 215 Social media activities requiring management 273
Promotion and social media in a digital Case study 6 Buffer: from idea to paying business
marketing context 216 customers in seven weeks 275
x Contents
Tools and techniques for collecting insight, running Who owns the process? 482
processes and summarising results 469 Who owns the content? 483
Using Google Analytics to evaluate and improve Who owns the format? 483
digital marketing 469 Who owns the technology? 484
How is Google Analytics data recorded? 469 Case study 10 Learning from Amazon’s culture
Applying Google Analytics reports and measures 470 of metrics 485
Digital marketing insight 10.1 Summary 491
Focus on measuring social media marketing 474 Exercises 492
Marketing research using the internet and digital Self-assessment exercises 492
media 478 Exam and discussion questions 492
Questionnaires and surveys 479 References 492
Focus groups 480 Weblinks 493
Mystery shoppers 480
Content management process 480
Glossary 494
How often should content be updated? 481
Index 523
Responsibilities for customer experience and
Publisher’s Acknowledgements 531
site management 482
Lecturer resources
For password-protected online resources tailored to support the
use of this textbook in teaching, please visit
go.pearson.com/uk/he/resources
Preface
Digital marketing has transformed how businesses and other organisations communicate
with their audiences. Consumers now have access to a much wider choice of entertainment,
products, services and prices from different suppliers and a more convenient way to select and
purchase items. Organisations have the opportunity to expand into new markets, offer new
services, interact with audiences in new ways and compete on a more equal footing with larger
businesses. Marketers working within these organisations have the opportunity to develop
new skills and to integrate these new tools to improve the competitiveness of the company.
In Chapter 1 we introduce the 7Ds of digital marketing to highlight the many factors that
contribute to effective digital marketing. The 7Ds are digital goals and strategy, digital audi-
ences, digital devices, digital platforms, digital media, digital data and digital technology.
These can be used, alongside traditional marketing techniques, to get closer to audiences than
ever before. Throughout the text we emphasise the importance of integrating the 7Ds, such
that digital marketing is not treated in isolation but aligned with marketing and business strat-
egy, while offering opportunities to impact strategy through new revenue and business models.
At the same time, the internet and related digital technology platforms give rise to many
threats to organisations. For example, online companies such as ASOS and Zalando (cloth-
ing); Amazon (retail); Spotify (music) and Booking.com and Expedia (travel) have captured
a significant part of their market and struck fear into the existing players. Many consumers
now regularly use social networks such as Facebook, Instagram, LinkedIn, Snapchat, TikTok
and Twitter as part of their daily lives, with the majority of access via smartphones. Engag-
ing these consumers is an ongoing challenge but, as we will see, companies such as those
above have taken advantage of these opportunities to interact with customers and evaluate
these interactions, and this has helped them develop as worldwide brands.
Throughout this text we highlight the potential of digital data, analytics and insight to
learn more about customers and their interactions, and customise marketing propositions
and communications to increase relevance and response. We show that a data-driven or
insight-driven marketing approach offers many advantages, but that organisations must
carefully consider the implications for customer data privacy and security.
With the success stories of companies capturing market share following the rapidly increas-
ing adoption of the internet by consumers and business buyers, it is a prerequisite that all
organisations must have an effective online presence to prosper, or possibly even survive!
What Michael Porter said in 2001 is still valid today:
The key question is not whether to deploy Internet technology – companies have no choice
if they want to stay competitive – but how to deploy it.
What are the marketing communications techniques that businesses need to master to make
effective use of digital marketing? The proliferation of new media channels, digital tech-
nologies and interaction options has given a challenge of understanding, prioritising and
xiv Preface
Table P.1 The RACE planning framework for managing key activities for integrated digital marketing across the
customer lifecycle
Create a digital Increase awareness, Generate interactions Achieve sales online Encourage customer
marketing strategy or drive website, mobile and leads or offline loyalty and advocacy
transformation plan and social media visits
1.1 Situation review 2.1 Media effectiveness 3.1 Customer journey 4.1 Retargeting 5.1 Customer
(Chapters 2 and 3) review effectiveness (Chapters 6 and 9) onboarding
(Chapters 8 and 10) (Chapter 7) (Chapters 6 and 7)
1.2 Set vision and 2.2 Search marketing 3.2 Data profiling 4.2 Personalisation 5.2 Customer
objectives, evaluate (Chapter 9) (Chapter 6) (Chapter 7) experience
(Chapters 4 and 10) (Chapter 7)
1.3 Strategy 2.3 Earned and 3.3 Content 4.3 Mobile 5.3 Customer
(Chapters 4–8) owned media marketing experiences service
(Chapters 6–9) (Chapter 8) (Chapter 7) (Chapter 7)
1.4 Segmentation 2.4 Paid media 3.4 Landing pages 4.4 Multichannel selling 5.4 Email marketing
(Chapters 4 and 6) (Chapter 9) (Chapter 7 and 8) (Chapter 4) (Chapters 6 and 9)
1.5 Value proposition 2.5 Acquisition plan 3.5 Content strategy 4.5 Conversion rate 5.5 Social media
and brand (Chapters 8 and 9) and campaign plan optimisation marketing
(Chapters 4 and 5) (Chapter 8) (Chapters 7 and 10) (Chapters 6 and 9)
managing many new digital communications techniques. To help summarise these at a top
level of the customer lifecycle or classic marketing funnel, Chaffey (2021) defined the RACE
planning framework shown in Table P.1. RACE planning defines a structure of 5 : 5 = 25 key
digital marketing techniques that need to be harnessed in most organisations to fully exploit
digital marketing to reach, interact with, convert and engage online audiences across the
customer lifecycle, from generating awareness, conversion to sale (online and offline) and
retention and growth of customers. RACE also emphasises the need to plan to create a
coordinated, integrated approach to digital marketing, which is integrated with other com-
munications activities. Many of the activities across RACE are introduced in Chapter 1
as ‘always-on’ lifecycle communications, meaning businesses need to ensure that they can
optimise their capabilities to achieve the RACE goals shown in the second row of Table P.1.
For larger organisations, Table P.1 provides a summary of activities that need to be managed
as part of digital transformation programmes, which review the innovation across people,
process, tools and measures needed to increase competitiveness.
The table shows the range of different marketing activities or operating processes needed
to support acquiring new customers through communicating with them on third-party web-
sites and social media, attracting them to a company website, mobile app or social network
and converting interest into leads and sales, and then using online customer communica-
tions to encourage further purchases and advocacy. You can see that applying social media
and content marketing is a part of RACE that can be deployed to support many activities,
and therefore is one of the key management challenges in digital marketing, so we consider
approaches to managing social media and content marketing throughout the text, with a
focus in Chapters 6, 8 and 9. Applying digital platforms as part of multichannel marketing to
integrate customer journeys between traditional and digital media is also a major challenge
and a theme throughout this text. Management processes related to governance of digital
marketing include planning how digital marketing can be best resourced to contribute to
the organisation and integrated with other marketing activities. The increased adoption of
digital marketing also implies a significant programme of change that needs to be managed.
New objectives need to be set, new communications strategies developed and staff developed
through new responsibilities and skills.
Preface xv
The aim of this text is to provide you with a comprehensive guide to the concepts, techniques
and best practice to support all the digital marketing processes shown in Table P.1. This
text (the structure of which is shown in Figure P.1) is based on emerging academic models
together with best practice from leading adopters of digital media. The practical knowledge
Part 1
Chapter 1
FUNDAMENTALS Introducing
digital
marketing
Chapter 2
Chapter 3
Online market
The digital macro-
place analysis:
environment
micro-environment
Part 2 Chapter 4
STRATEGY Digital
marketing
strategy
Chapter 5 Chapter 6
Digital branding Data-driven
and the relationship
marketing mix marketing
Part 3 Chapter 7
IMPLEMENTATION Delivering the
AND PRACTICE digital customer
experience
developed through reviewing these concepts and best practice is intended to enable gradu-
ates entering employment and marketing professionals to exploit the opportunities of digital
marketing while minimising the risks.
Specifically, this text addresses the following needs:
• To know to what extent digital technology and media changes existing marketing models
and how new models and strategies can be applied to exploit the medium effectively.
• How to best integrate and align digital marketing with business and marketing strategies
and communications, including dedicated digital transformation programmes and digital
marketing strategies where necessary.
• Marketing practitioners need practical digital marketing skills to market their products
effectively. Knowledge of the jargon – terms such as ‘marketing automation’, ‘click-
through’, ‘cookie’, ‘uniques’ and ‘page impressions’ – and of effective methods of site
design and promotion such as search engine marketing will be necessary, either for direct
‘hands-on’ development of a site or to enable communication with other staff or agencies
that are implementing and maintaining the site.
The text assumes some existing knowledge of marketing in the reader, perhaps developed
through experience or by students studying introductory modules in marketing fundamen-
tals, marketing communications or buyer behaviour. However, basic concepts of marketing,
communications theory, buyer behaviour and the marketing mix are outlined.
The acclaimed structure of previous editions has been retained since this provides a clear
sequence to the stages of strategy development and implementation that are required to plan
successfully for digital marketing in existing and startup companies.
The main changes made for the eighth edition, based on feedback from reviews and our
close monitoring of the trends and latest developments, are:
• The 5Ds of digital marketing extended to 7Ds to emphasise the importance of goal set-
ting, strategy and customer insight.
• New and updated visuals to introduce and explain digital marketing concepts and
options. Overall, this edition has over 50 new or updated figures and tables.
• Table 2.1 updated to include the latest customer research tools and sources for students
to use in their assignments.
• New research on share of searches and examples of keywords.
• New mini case study on how social media influencers can shape our opinions.
Preface xvii
• New digital marketing insights box exploring: ‘Is a digital marketing strategy needed in
the post-digital world?’
• New section and figure on completing a digital marketing capability review.
• New section on data-driven marketing covering Big Data, AI and machine learning, and
analysis techniques including lead scoring and lead grading with a mini case study illus-
trating the concept. Chapter restructured to emphasise this, with social media marketing
moved to the end and now including social media monitoring.
• New figures explaining how email marketing and social media can be used to support
marketing activities across the customer lifecycle of Reach, Act, Convert and Engage.
• New case study showing how a startup business – B2B social media sharing service Buffer –
has used data-driven marketing to grow the business.
• Options of cloud-based hosting and website hosting introduced. Google Core Web Vitals
added.
• Usability and digital accessibility updated with new Voice of the Customer examples and
McGovern’s ‘top tasks’ methodology.
• Updates of new IoT and AR applications including addition of classical literature on VR,
AR and mixed reality.
• New coverage and research covering balance between brand-building and brand-response
campaigns and how digital media can facilitate this.
• Case study on Facebook replaced by not-for-profit Global Action Plan, which campaigns
for environmental improvements.
• Updated figures recommending an integrated campaign timeline and best media types
for different campaign budgets.
xviii Preface
• Best practices recommendations updated, particularly for organic and paid search. New
mini case added on advertising in TikTok.
• New case study on using analytics to review media effectiveness at Smart Insights.
• More practical coverage of Google Analytics, including a student activity reviewing the
main reports in the Google Analytics Demo Accounts for Universal Analytics and GA4.
• Short section and mini case study added on Voice of Customer research.
1 Introducing digital Boo hoo: learning from Boo. Business and revenue model,
marketing com – the largest European proposition, competition, objectives
dot.com failure and the success and strategies, risk management.
of Boohoo.com Updated to contrast with Boo.com
2 Online marketplace Creating the beauty that moves Assessing a consumer market,
analysis: the world business models, marketing
micro-environment communications
3 The digital Social media and the changing Companion vision, branding,
macro-environment face of celebrity influencers target market, communicating
the proposition, challenges and
reasons for failure
4 Digital marketing ASOS shifts the focus of high- Business models, proposition
strategy street retailing to enhance the and online product range, target
customer experience market strategy
5 Digital branding and Spotify streaming develops new Peer-to-peer services, revenue
the marketing mix revenue models models, proposition design,
strategy, competition, risk factors
7 Delivering the digital Refining the online customer Strategy, proposition, site design,
customer experience experience at i-to-i.com on-site search capabilities
8 Campaign planning for Global Action Plan – Exploring the campaign planning
digital media campaigning for a better world process at charity GAP, with
examples of different participation
and social-media-led campaigns
The text is divided into three parts, each covering a different aspect of how organisations
use the internet for marketing to help them achieve competitive advantage. Table P.3 shows
how the text is related to established marketing topics.
Part 1 relates the use of the internet to traditional marketing theories and concepts, and
questions the validity of existing models given the differences between the internet and
other media.
• Chapter 1 Introducing digital marketing considers using the internet as part of customer-
centric, multichannel marketing; it also reviews the relationship between internet market-
ing, digital marketing, e-commerce and digital business, and the benefits the internet can
bring to adopters; and outlines differences from other media and briefly introduces the
technology.
• Chapter 2 Online marketplace analysis: micro-environment reviews how digital media
and technology changes the immediate environment of an organisation, including the
marketplace and channel structure. It describes the type of situation analysis needed to
Topic 1 2 3 4 5 6 7 8 9 10
Advertising ✓ ✓
Branding ✓ ✓ ✓ ✓
Consumer behaviour ✓ ✓ ✓ ✓ ✓ ✓
Communications mix ✓ ✓ ✓
Communications theory ✓ ✓ ✓
Direct marketing ✓ ✓ ✓
International marketing ✓ ✓ ✓ ✓
Marketing mix ✓ ✓ ✓ ✓
Marketing research ✓ ✓ ✓ ✓
Pricing strategy ✓ ✓ ✓
Promotion ✓ ✓ ✓ ✓ ✓
Public relations ✓ ✓
Relationship marketing ✓ ✓
Segmentation ✓ ✓ ✓ ✓ ✓ ✓
Services marketing ✓ ✓
Technology background ✓ ✓ ✓ ✓
xx Preface
Part 2 describes the emerging models for developing strategy and provides examples of the
approaches companies have used to integrate the internet into their marketing strategy.
• Chapter 4 Digital marketing strategy considers how the digital strategy can be aligned
with business and marketing strategies, and describes a generic strategic approach with
phases of situation review, goal setting, strategy formulation and resource allocation and
monitoring.
• Chapter 5 Digital branding and the marketing mix assesses how the different elements
of the marketing mix can be varied in the online environment as part of strategy
formulation.
• Chapter 6 Data-driven relationship marketing using digital platforms details strategies
and tactics for using digital communications to build and sustain ‘one-to-one’ relation-
ships with customers.
Part 3 of the text explains practical approaches to implementing a digital marketing strategy.
Techniques for communicating with customers, building relationships and facilitating elec-
tronic commerce are all reviewed in some detail. Knowledge of these practical techniques is
essential for undergraduates on work placements involving website, content or social media
marketing activities, and for marketing managers who are dealing with suppliers such as
design agencies.
• Chapter 7 Delivering the digital customer experience explains how an online presence
is developed to support branding and customer service quality objectives. The stages
of analysis of customer needs, design of the site structure and layout and creating the
site are covered, together with key techniques such as user-centred design, usability
and accessibility design. It also covers different service quality models used to assess
experience.
• Chapter 8 Campaign planning for digital media describes the novel characteristics of
digital media, and then considers different aspects of marketing communications that
are important for developing a successful online campaign.
• Chapter 9 Marketing communications using digital media channels covers techniques
such as banner advertising, affiliate networks, promotion in search engines, co-branding
and sponsorship, email, online PR, viral and word-of-mouth marketing, with particular
reference to social networks.
• Chapter 10 Evaluation and improvement of digital channel performance reviews methods
for assessing and improving the effectiveness of a website and digital communications
using digital analytics, with a focus on Google Analytics. The chapter briefly covers pro-
cess and tools for updating content.
Preface xxi
Students
This text has been created primarily as the main student text for undergraduate and post-
graduate students taking specialist marketing courses or modules that cover e-marketing,
internet and digital marketing, electronic commerce and e-business. The text is relevant to
students who are:
• undergraduates on business programmes that include modules on the use of the internet
and e-commerce, including specialist degrees such as digital marketing, electronic com-
merce, marketing, tourism and accounting or general business degrees such as business
studies, business administration and business management;
• undergraduate project students who select this topic for final-year projects or disserta-
tions – this text is an excellent supporting text for these students;
• undergraduates completing a work placement in a company using the internet to promote
its products;
• students at college aiming for vocational qualifications, such as an HNC or HND, in
business management or computer studies;
• postgraduate students taking specialist master’s degrees in electronic commerce or inter-
net marketing, generic MBAs and courses leading to qualifications such as the Certificate
in Management or Diploma in Digital Marketing or Management Studies that involve
modules on electronic commerce and digital marketing.
Practitioners
Previous editions have been widely used by digital marketing practitioners including:
The text is intended to be a comprehensive guide to all aspects of using the internet and
other digital media to support marketing. The text builds on existing marketing theories
and concepts, and questions the validity of models in the light of the differences between
the internet and other media. The text references the emerging body of literature specific
to internet marketing. It can therefore be used across several modules. Lecturers will find
the text has a good range of case studies, activities and exercises to support their teaching.
Website links are given in the text and at the end of each chapter to provide important
information sources for particular topics.
xxii Preface
A range of features has been incorporated into this text to help the reader get the most out
of it. Each feature has been designed to assist understanding, reinforce learning and help
readers find information easily, particularly when completing assignments and preparing for
exams. The features are described in the order in which you will find them in each chapter.
The ‘Chapter at a glance’ page is a summary of the content for each chapter. It contains:
• Learning objectives and topics: a list relating the learning objectives to the main
sections in which they are covered in the chapter.
• Case study: an organisation is featured in the main case at the end of each chapter.
• Links to other chapters: a summary of where key concepts are also covered in other
chapters.
In each chapter
• Definitions: when significant terms are first introduced in the main text, there are suc-
cinct definitions of these terms in the margin for easy reference.
• Web references: where appropriate, web addresses are given to enable readers to obtain
further information. They are provided in the main text where they are directly relevant
as well as at the end of the chapter.
• Essential digital skills: practical ideas to boost employability by showcasing students’
interests and experiences.
• Mini case studies: short features that give a more detailed example, or explanation,
than is practical in the main text. They do not contain supplementary questions.
• Digital marketing insights: short features and examples of using research to facilitate
data-driven marketing.
• Activities: exercises that give readers the opportunity to practise and apply the tech-
niques described in the main text.
• Case studies: real-world examples of how companies are using the internet for market-
ing. Questions at the end of each case study are intended to highlight the main learning
points from the example.
• Chapter summaries: intended as revision aids to summarise the main learning points
from the chapter.
• Self-assessment exercises: short questions that will test understanding of terms and
concepts described in the chapter.
• Exam and discussion questions: these include questions that can be set for students
or used for self-review by students. They include individual essays, topics for seminar
discussion and short questions for exams to assess knowledge about a topic.
• References: these are references to books, articles or papers referred to within the
chapter.
Note: In addition to the end of chapter material in the text, website links are hosted at
www.davechaffey.com/book-support, structured by chapter to enable students to click-
through to relevant sites. These are significant sites that provide further information on the
concepts and topics of the chapter.
Preface xxiii
• Glossary: comprehensive definitions of all key terms and phrases used within the main
text.
• Index: all key words and abbreviations referred to in the main text.
Support material
References
Chaffey, D. (2021) Introducing the RACE framework: a practical framework to improve your
digital marketing, Smart Insights blog post, 27 May, smartinsights.com/digital-marketing-
strategy/race-a-practical-framework-to-improve-your-digital-marketing (accessed August
2021).
Porter, M. (2001) Strategy and the internet, Harvard Business Review, (March), 62–78.
About the authors
been widely published in national and international journals, including Journal of Business
Research, European Journal of Marketing, International Journal of Retail Distribution &
Management, Internet Research and Journal of Retailing and Consumer Services.
Fiona is passionate about business research and education and creating value for society,
having started her working career as a young entrepreneur building a retail business. She
believes bringing management research to life is very important, especially in her current role
as Director of Impact at The School of Business & Economics, Loughborough University.
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Case study
Case study 1: Boo hoo: learning from Boo.com – the largest European dot.com
failure and the success of Boohoo.com
• Chapters 2 and 3 explain marketplace analysis for digital marketing planning and
managing consumer concerns such as privacy.
• Chapters 4, 5 and 6 in Part 2 describe how digital marketing strategy can be
developed.
• Chapters 7, 8 and 10 in Part 3 describe strategy implementation.
Chapter 1 Introducing digital marketing 5
For businesses to compete effectively today, it’s essential that they use digital marketing to
support their business and marketing strategies. Each one of us now spends several hours
each day using digital media, whether we’re looking for entertainment, social interaction or
seeking new products. Brands that don’t have the right digital elements in place within their
marketing communications programmes miss out on opportunities to influence consumers
at key online touchpoints.
Digital marketing offers marketers many innovative communications techniques to reach
and engage consumers and businesses online to support their goals. Compared to traditional
media such as TV, print or cinema, these techniques may have many potential benefits. They
offer interaction, personalisation to target audience interests and in some cases, such as in
search engine or social media marketing, there may be organic options that don’t incur a
direct media cost. Yet some traditional media remain effective, and consideration of how
to integrate these is needed.
For the authors of this text, digital marketing is an exciting area to be involved with, since
it poses many new opportunities and challenges yearly, monthly and even daily. Innovation
is a given, with the continuous introduction of new technologies, new business models and
new communications approaches.
Yet, given the number of digital marketing techniques and platforms, there are many
challenges in selecting the best media to gain cut-through to reach the right audience, at the
right time, in the right place given the proliferation of digital media. The options available
change rapidly as innovations occur across the digital platforms.
In this text, we explain a strategic approach for businesses to take advantage of the
opportunities of using digital communications and digital transformation. It’s based on a
systematic process to define the opportunity (Part 1), develop strategies (Part 2) and imple-
ment digital techniques and best practices (Part 3).
To succeed in the future, organisations will need marketers, strategists and agencies with
up-to-date knowledge of how to integrate digital marketing techniques into their marketing
communications and develop new strategies to compete.
The aim of Digital Marketing is to support students and professionals in gaining and
developing this knowledge. In this text, we will show how traditional marketing models and
concepts can be applied to help develop digital marketing strategies and plans, and where
new models are appropriate. We will also give many practical examples and best practices
for applying digital marketing to effectively market an organisation’s products and services
using the internet and other digital media.
Digital marketing
The application of What is digital marketing?
digital media, data and
technology integrated
with traditional marketing Digital marketing can be simply defined as:
communications to
achieve marketing Achieving marketing objectives through applying digital media, data and technology.
objectives.
Online company
This succinct definition helps remind us that it is the results delivered by technology that
presence should determine investment in digital marketing, not the adoption of the technology! We
Different forms of online also need to remember that despite the popularity of digital devices for product selection,
media controlled by a
company including its entertainment and work, we still spend a lot of time in the real world, so integration with
website, blogs, email traditional media remains important in many sectors.
list and social media
presences. Also known as
In practice, digital marketing focuses on managing different forms of online company
‘owned media’. presence, such as company websites, mobile apps and social media company pages,
6 Part 1 Digital marketing fundamentals
Customer relationship integrated with online communications techniques introduced later in this chapter, includ-
management (CRM)
Using digital ing search engine marketing, content marketing, social media marketing, online advertising,
communications email marketing and partnership arrangements with other websites.
technologies to maximise
sales to existing
These techniques are used to support the objectives of acquiring new customers and
customers and encourage providing services to existing customers that help develop the customer relationship through
continued usage of customer relationship management (CRM). However, for digital marketing to be success-
online services through
techniques including a ful there is still a need for integration of these techniques with traditional media such as
database, personalised print, TV, direct mail and human sales and support as part of multichannel marketing
web messaging, customer
services, chatbots,
communications.
email and social media To use digital marketing effectively, many established businesses have adopted digital
marketing. transformation programmes. Analyst Brian Solis (2017) of Altimeter defines digital trans-
Digital transformation formation as:
A staged programme
of organisational The evolving pursuit of innovative and agile business and operational models – fuelled by
improvements to business
models, people, process evolving technologies, processes, analytics, and talent – to create new value and experi-
and technologies used ences for customers, employees, and stakeholders.
for integrated digital
marketing in order to The role of digital platforms in supporting integrated multichannel (omnichannel)
maximise the potential
business contribution of marketing is a recurring theme in this text, and in Chapter 2 we explore its role in supporting
digital technology, data different customer journeys on the ‘path to purchase’ through alternative communications
and media.
and distribution channels. Online channels can also be managed to support the whole
Multichannel buying process from pre-sale to sale to post-sale and further development of customer
(omnichannel) marketing
Customer communications relationships.
and product distribution We will see at the end of this chapter that content marketing has become a core integrated
are supported by a
combination of digital
modern marketing approach that involves communications across paid, owned and earned
and traditional channels media.
at different points in the
buying cycle or ‘path
to purchase’. With the
range of mobile and IoT
Paid, owned and earned media
touchpoints, some use
the term ‘omnichannel To develop a sound digital strategy today involves understanding a more complex, more
marketing’.
competitive buying environment than ever before, with customer journeys including touch-
Customer journey points in many different forms of online presence. To help develop a strategy to reach and
A description of modern influence potential customers online, it’s commonplace to refer to three main types of media
multichannel buyer
behaviour as customers that marketers need to consider today (Figure 1.1):
use different media and
touchpoints to achieve 1 Paid media. These are bought media where there is investment to pay for visitors, reach
their goals, including or conversions through search, display ad networks or affiliate marketing. Offline, tra-
selecting suppliers,
making purchases ditional media such as print and TV advertising and direct mail remain important for
and gaining customer some brands such as consumer goods brands.
support as part of the
‘path-to-purchase’.
2 Owned media. This is media owned by the brand. Online this includes a company’s own
websites, blogs, email list, mobile apps or its social presence on Facebook, Instagram,
Paid media
Also known as bought
LinkedIn or Twitter. Offline owned media may include brochures or retail stores. It’s use-
media, a direct payment ful to think of a company’s own presence as media in the sense that it is an alternative
occurs to a site owner or investment to other media and it offers opportunities to promote products using similar
an ad network when they
serve an ad, a sponsorship ad or editorial formats to other media. It emphasises the need for all organisations to
or pay for a click, lead or become multichannel publishers.
sale generated.
3 Earned media. Traditionally, earned media has been the name given to publicity gener-
Owned media
Different forms of media
ated through PR invested in targeting influencers to increase awareness about a brand.
controlled by a company Now, earned media also includes word of mouth that can be stimulated through viral and
including its website, blogs, social media marketing, and conversations in social networks, blogs and other communi-
email list and social media
presence. ties. It’s useful to think of earned media as the sharing of engaging content developed
Earned media through different types of partners such as publishers, bloggers and other influencers,
The audience is reached including customer advocates. Another way of thinking about earned media is as differ-
through editorial,
comments and sharing
ent forms of conversations between consumers and businesses occurring both online and
both online and offline. offline.
Chapter 1 Introducing digital marketing 7
Figure 1.1 The intersection of the three key online media types
Advertising
Paid search
Display ads
Affiliate marketing
Digital signage
Paid
Atomisation Paid
media
of content placements
into ads
Atomisation of conversations
through shared APIs
and social widgets
You can see in Figure 1.1 that there is overlap between the three different types of media.
Application
It is important to note this since achieving this overlap requires integration of campaigns,
programming resources and infrastructure. Content on a content hub or site can be broken down (some-
interfaces times described as microcontent) and shared between other media types through widgets
Method of exchanging
data between systems powered by program and data exchange APIs (application programming interfaces) such
such as website services. as the Facebook API.
At the start of each chapter you will find an Essential digital skills box that has practical
ideas to improve your knowledge and tips on how to improve ‘hands-on’ digital skills,
which are recommended by employers.
In this chapter, we recommend some techniques that marketers can use to stay up to
date with developments in digital marketing and with their competitors. We recommend
you develop the following skills:
These are the techniques that Dave Chaffey uses to keep up to date with the latest
developments:
• Use Twitter Lists to get focused updates from the best websites or influencers, which
are grouped into streams. I monitor these in www.Hootsuite.com, which you can also
use to set up streams for competitors.
8 Part 1 Digital marketing fundamentals
• Use a feed reader app such as FeedlyTM to subscribe to different digital marketing
news sites. The most popular articles are highlighted to help you filter out the biggest
developments. Install Feedly and you will get recommendations of the best marketing
sites.
• Subscribe to newsletters that cover the latest platform developments and best prac-
tices, for example, EconsultancyTM, MarTechTM and Smart InsightsTM.
To audit your digital marketing skills across the RACE planning framework, use the
Smart Insights Skills Assessment tool available at http://bit.ly/smartdigiskills.
As part of defining the scope of opportunity when using a strategic approach to digital
marketing, it’s helpful to think about which digital audience interactions we need to under-
stand and manage through marketing communications. Digital marketing today is about
managing many more types of audience interaction than simply a company website or
email marketing. It involves harnessing all of these other ‘7Ds of managing digital market-
ing interactions’, which are summarised in Figure 1.2. This summarises the key concepts
and pillars supporting digital marketing that are introduced in this chapter The marketing
activities relating to the 7Ds that should be reviewed as part of a strategic approach to
digital marketing are:
• Digital goals and strategy. Reviewing what the business or brand is aiming to achieve
through using digital marketing and how well it is contributing. Considering how digital
marketing can help the business compete through digital marketing strategy to define
digital transformation needed for existing businesses, including changes to business
and revenue models, and prioritisation of always-on marketing in addition to campaign
investments.
Amazon Owned
SMART Customer Martech including
Tablet
comms objectives Business-to- behaviours marketing clouds
business
Microsoft Earned
Always-on and
Marketing
campaign Desktop Customer value
automation
integration Websites and
Consumer-to- Google
apps
Digital consumer
Smart speaker Communications Artificial
transformation Search, social and
and in-home Apple preferences intelligence
and disruption email marketing
Business and Target markets,
Digital TV and out- Other sector- Augmented and
revenue models segments and Content marketing Big Data
of-home signage specific virtual reality
(monetisation) personas and PR
intermediaries
Chapter 1 Introducing digital marketing 9
Since digital media are enabled through technology, there is a danger that adoption of digital
marketing technology will be led by technology decisions. This risk is highlighted in the
Harvard Business Review article ‘Digital transformation is not about technology’. Tabrizi
et al. (2019) suggest that businesses will often:
Put the cart before the horse, focusing on a specific technology (‘we need a machine-
learning strategy!’) rather than doing the hard work of fitting the change into the overall
business strategy first. Not only should they align tech investments with business goals –
they should also lean more on insider knowledge than outside consultants, acknowl-
edge fears about job loss that those insiders may have, develop deep knowledge of how
changes will affect customer experience, and use process techniques borrowed from the
tech world (experimentation, prototyping, etc.) to facilitate change.
As with any strategic initiative involving investment in technology, it’s important to make
the business case and set SMART objectives, as we detail in Chapter 4 on digital strategy. In
this section we consider general benefits and applications of digital media and technology.
Since digital marketing should support marketing communications goals such as cus-
tomer acquisition and retention, it’s useful to consider a hierarchy of response model
for how digital media and platforms support these goals. AIDA, which stands for
10 Part 1 Digital marketing fundamentals
• Step 1: Reach – build awareness of a brand, its products and services on other sites
and in offline media and build traffic by driving visits to web and social media
presences.
• Step 2: Act – engage an audience with the brand on its website or other online presence
to encourage them to interact with a company or other customers. In many sectors, the
aim of the Act stage is lead generation, i.e. to gain permission to market to a prospect
using email, SMS or mobile app notifications.
• Step 3: Convert – achieve conversion to generate sales on web presences and offline.
• Step 4: Engage – build customer relationships through time to achieve retention
goals.
Digital channels always work best when they are integrated with other channels so, where
appropriate, digital channels should be combined with the traditional offline media and
channels. The most important aspects of integration are, first, using traditional media to
raise awareness of the value of the online presences at the Reach and Act stages and, second,
Figure 1.3 The RACE omnichannel marketing planning framework summarising aims, activities and measures
Aim: Grow your audience using Aim: Prompt interactions to Aim: Achieve sales Aim: Encourage repeat
paid, owned and digital media encourage subscribers and leads online or offline business and advocacy
PROSPECTS
REPEAT
STRANGERS VISITORS or CUSTOMERS
CUSTOMERS
LEADS
Measure: Impressions and visitors Measure: Leads Measures: Sales Measures: Repeat sales
and customer satisfaction and customer satisfaction
Customer acquisition activities: Customer acquisition activities: Customer acquisition activities: Customer retention activities:
Review media effectiveness Review media effectiveness Email nurture and ad retargeting Customer onboarding
Search marketing Customer data profiling Website personalisation Loyalty programmes
Owned and earned media Content marketing strategy Mobile optimisation Customer service
Paid media Landing pages Multichannel selling Social media advocacy
Customer acquisition strategy Campaign/editorial planning Conversion rate optimisation Conversational messaging
Chapter 1 Introducing digital marketing 11
at the Convert and Engage steps where customers may prefer to interact with customer
representatives.
RACE can be used as a framework to structure the goals of both integrated digital mar-
keting strategies and shorter-term campaigns, as shown by Mini case study 1.1.
We can also consider the benefits of digital marketing in supporting marketing goals by
applying the definition of marketing suggested by the Chartered Institute of Marketing
(www.cim.co.uk):
Marketing is the management process responsible for identifying, anticipating and satisfy-
ing customer requirements profitably.
This definition emphasises the focus of marketing on the customer and commercial returns.
Consider how digital marketing can be used to support these aims as follows:
• Identifying. Digital interactions give a source of customer insight and a channel for mar-
keting research to determine customers’ needs and wants (Chapters 2 and 10).
• Anticipating. Using insight gained online, digital media provide a way to target
communications in line with audience needs. The demand for digital content and ser-
vices needs to be evaluated to ensure adequate resources are delivered (as explained in
Chapters 2, 3 and 4).
Source: The BURGER KING® and Whopper® trademarks and images are used with permission from Burger King
Corporation. All rights reserved
The communications aim of the campaign was to drive people to download the BK app, use the AR feature
in the real world and insist on Burger King flame grilling iconic taste. With the motto ‘After all, flame grilled is
always better’, digital interactions were encouraged through a feature in the Burger King app. It integrated a
feature in its app that allowed users to scan any ad of the competition and burn it in the virtual world using
augmented reality.
Conversion to sale was encouraged since users of the feature could get a free Whopper®, encouraging
trial and future purchases. Longer-term engagement was encouraged by use of a mobile app, BK Express,
specifically developed in Brazil enabling any customer to pre-order and avoid queues. The campaign aim was
to achieve hundreds of thousands of app downloads and online voucher redemptions.
Source: The Drum (2019)
12 Part 1 Digital marketing fundamentals
• Satisfying. A key success factor within digital marketing is achieving customer satis-
faction through digital channels, which raises questions about the quality of customer
experience (these issues of customer relationship management are discussed further in
Chapters 6 and 7).
Chaffey and Smith (2017) suggested the 5Ss of digital marketing as a way of consid-
Digital business or ering the business benefits of digital marketing. Table 1.1 shows our summary of these
electronic business
(e-business) benefits.
Electronically mediated
information exchanges,
both within an Direct-to-consumer communications and e-commerce
organisation and with
external stakeholders
supporting the range of Prior to the option of online sales, many businesses sold through intermediaries such as
business processes. wholesalers or retailers. The internet now offers new options for direct-to-consumer (D2C)
Electronic commerce communications and sales through e-commerce. Digital transformation projects will often
(e-commerce)
All financial and
involve prioritising investments needed for transactional e-commerce as part of a move to
informational electronically digital business.
mediated exchanges Electronic commerce (e-commerce) refers to both financial and informational elec-
between an organisation
and its external tronically mediated transactions between an organisation and any third party it deals
stakeholders. with. Thus, e-commerce involves management not only of online sales transactions, but
Sell-side e-commerce also of non-financial transactions such as inbound customer service enquiries and out-
E-commerce transactions bound email broadcasts, so you can argue that e-commerce is open to all online organisa-
between a supplier
organisation and its tions. However, e-commerce is often used to refer solely to selling online, i.e. transactional
customers. e-commerce.
Buy-side e-commerce E-commerce is often further subdivided into a sell-side e-commerce perspective, which
E-commerce transactions refers to transactions involved with selling products to an organisation’s customers, and
between a purchasing
organisation and its a buy-side e-commerce perspective, which refers to business-to-business transactions to
suppliers. procure resources needed by an organisation from its suppliers.
Sell – grow sales Includes direct online sales transactions Achieve 10 per cent of sales online
and sales from offline channels influenced Increase online sales in product category by 20 per
online cent in one year
Speak – get closer to Encourage interaction online using inbound Increase website visits or social media page follow-
customers marketing techniques such as search and ers by 10 per cent within one year
social media marketing, and understand
audience needs
Serve – add value Provide content and offers to encourage Increase subscribers to newsletter by 10 per cent
interactions leading to sales within quarter
Save – save costs Reduce offline media spend and Reduce cost of customer acquisition by 10 per cent
customer service through using organic Reduce cost-to-serve per customer by 10 per cent
inbound marketing techniques
Reduce customer support costs by ‘web
self-service’ where customers answer
queries online
Sizzle – extend the Improve the customer experience by Improve brand metrics such as brand awareness,
brand online offering new digital value propositions, brand familiarity, favourability and purchase intent
exclusive online offers and customer
communities
Geyskens et al. (2002) suggested that digital channels can be effective in delivering incre-
mental sales compared to other channels, arguing that there are three main forms of demand
expansion for an existing company when it adopts direct internet channels. These are:
1 Market expansion. This occurs when new segments of customers are reached who did
not previously buy in a category – they give the example of Estée Lauder™, which hopes
that the Clinique.com™ site will attract customers who avoid buying at a cosmetics coun-
ter because they find the experience intimidating.
2 Brand switching. This is done by winning customers from competitors.
3 Relationship deepening. This is selling more to existing customers.
Digital marketing gives excellent opportunities to grow a business by entering new mar-
kets, as the ZalandoTM mini case study 1.2 explains for an e-commerce brand.
Once a single-country startup inspired by the successful business model of Zappos.com, Zalando was founded
in 2008 by David Schneider, Rubin Ritter and Robert Gentz, with an early loan of €75,000 from German venture
capital firm Rocket Internet SE. Zalando has become a €6 billion company and Europe’s top fashion retail plat-
form. In 2008, Zalando served only Germany; five years later it was serving 15 European countries. By 2020 it
had 32 million active customers and 13,000 employees.
Now, Zalando sells over 2,500 international and local brands, including international premium brands, as well
as localised brands that are only available per country. For each of the 15 tailor-made websites per country it
serves, it includes customised shipping, payment, fashion and marketing strategies unique to the culture and
country. High-street stores have now been opened in large German cities.
Zalando is popular and successful for many reasons, including a media, content, merchandising and locali-
sation strategy applied to each country, an effective customer satisfaction programme and focus on the mobile
14 Part 1 Digital marketing fundamentals
experience, which accounts for 80 per cent of 4 billion site visits each year. Mobile app users visit and purchase
more often and have a higher Net Promoter customer satisfaction score. Investment in a superior digital experi-
ence is a key part of Zalando’s strategy, summarised in Zalando (2020) as:
To become the starting point for fashion we aim to invest our economic surplus in our customer experience
across assortment, digital experience and convenience to drive customer satisfaction and retention.
Its Google Ads™ programme is particularly important as a method for it to gain rapid awareness in each
country it has entered, since other online media techniques such as SEO (too slow to grow an audience rapidly
in a competitive market) and social media (relatively poor at impacting online sales) can fail to gain traction in
a market. Using Google Ads and offline advertising plus the distribution infrastructure requires a significant
investment, so substantial initial backing is needed for an international e-commerce business like this, which
is evident since it took four-plus years to break even in the core regions of Germany, Austria and Switzerland.
Source: Zalando (2020) and Zalando Investor Relations website
Social commerce Social commerce is an increasingly important part of e-commerce for site owners, since
A subset of e-commerce
that encourages incorporating reviews and ratings into a site and linking to social networking sites can
participation and help understand customers’ needs and increase conversion to sale. It can also involve group
interaction of customers
in rating, selecting and
buying using a coupon service, as with Groupon™. There is much discussion over the
buying products through extent to which social media interactions between consumers directly influence sales. Digital
group buying. This marketing insight 1.1 outlines research hinting at the complexity of understanding this
participation can occur on
an e-commerce site or on relationship. We introduce social media marketing later in this chapter.
third-party sites.
It is sometimes suggested by some suppliers of digital marketing services that they are
‘quick, cheap and easy’ to deploy. This is a great misconception since there are many chal-
lenges that need to be overcome when managing digital channels and campaign activities.
Think of a Google Ads campaign as an example:
Research by GWI (2020), based on a global panel, shows how social media informs
purchase decisions. It showed that younger age groups show significantly higher pro-
pensity to be influenced by social media compared to older age groups when asked to
rate their impact:
• Discover brands/product via ads on social media (31 per cent of 16–24-year-olds
compared to 19 per cent of 55–64-year-olds).
• Discover brands/products via recommendations on social media (26 per cent
compared to 15 per cent).
• Research products online via social networks (50 per cent versus 25 per cent).
• Lots of likes/good comments would increase chance of purchase (27 per cent versus
13 per cent).
• A ‘buy-button’ would increase chance of purchase (14 per cent versus 6 per cent).
• Responding to competitors. Since competitors can also change their approach readily,
more resource has to be used to monitor competitor activity. Automated tools known
as bid management tools can assist with this – they will automatically check amounts
competitors are paying and then adjust them according to predefined rules.
• Responding to changes in technology and marketing platforms. Google and the other
ad-serving companies innovate to offer better capabilities for their customers. This means
that staff managing campaigns need training to keep up to date. Google offers ‘Google
Ads Qualified Professionals and Agencies’ so that companies can be certain of a mini-
mum skills level.
• Cost. Although costs can be readily controlled, in competitive categories the costs can be
high, exceeding €10 per click.
• Attention. While online paid search ads are highly targeted and there is arguably lit-
tle wastage, not everyone will view paid adverts; indeed there is a phenomenon known
as ‘banner blindness’ where web users ignore online ads. Engaging with the audience
through advertising is also a problem in social networks and other publisher sites, which
can lead to a very low rate of people clicking on ads.
The key strategic decisions for digital marketing are in common with traditional business and
marketing strategy decisions. As we will see in Chapter 4, which defines a process for devel-
Positioning oping a digital marketing strategy, customer segmentation, targeting and positioning are
Customers’ perception all key to effective digital marketing. These familiar target marketing strategy approaches
of the product and brand
offering relative to those of involve selecting target customer groups and specifying how to deliver value to these groups
competitors. as a proposition of services and products. As well as positioning of the core product or
Target marketing brand proposition, online development of a compelling extended product or online value
strategy proposition (OVP) is also important (see Chapter 4, p. 170). This defines how the online
Evaluation and
selection of appropriate experience of a brand is delivered through content, visual design, interactivity, sharing, rich
customer segments media and how the online presence integrates with the offline presence. All of the digital
and the development of
appropriate offers. platforms referenced in this section have a clear, compelling OVP. Strategic decisions about
Online value
the future OVP a brand offers is a key part of digital marketing strategy.
proposition (OVP)
A statement of the
benefits of online Key features of digital marketing strategy
services that reinforces
the core proposition
and differentiates from The interaction and integration between digital channels and traditional channels is a key
an organisation’s offline part of digital marketing strategy development. Digital marketing strategy is essentially
offering and those of
competitors. a channel marketing strategy and it needs to be integrated with other channels as part of
multichannel marketing. It follows that an effective digital marketing strategy should:
• be aligned with business and marketing strategy (for example, many companies use a
rolling three-year plan and vision), with more specific annual business priorities and
initiatives;
• use clear objectives for business and brand development and the online contribution of
leads and sales for the internet or other digital channels – these should be based on models
of the number using the channels;
• be consistent with the types of customers who use and can be effectively reached through
the channel;
Value proposition
The benefits or value a
• define a compelling, differential value proposition for the channel, which must be effec-
brand offers to customers
tively communicated to customers;
in its products and • specify the mix of online and offline communication tools used to attract visitors to the
services. company website, or interact with the brand through other digital media such as email
or mobile;
16 Part 1 Digital marketing fundamentals
• support the customer journey through the buying process as they select and purchase
products using the digital channel in combination with other channels;
• manage the online customer lifecycle through the stages of attracting visitors to the
website, converting them into customers, and retention and growth.
For established multichannel organisations, digital media offer a range of opportunities for
marketing products and services across the purchase cycle that companies need to review as
part of their digital strategy. Consider the example of a low-cost airline. Digital media and
technologies can be used as follows:
• Advertising medium. Display ads on publisher sites or social networks can be used to
create awareness of brands and demands for products or services.
• Direct-response medium. Targeted search advertising enables companies to drive visits
to a site when consumers show intent to purchase, such as searching for a flight to a
destination.
• Platform for sales transactions. Online flight booking is now the most common method
for booking flights, both for consumers and business travellers.
• Lead-generation method. For booking business flights, tools can be provided that help
identify and follow up corporate flight purchases.
• Distribution channel, such as for distributing digital products. Today, airlines sell more
insurance services than previously, for example.
• Customer service mechanism. For example, customers may ‘self-serve’ more cost-
effectively by reviewing frequently asked questions.
• Relationship-building medium. Here a company can interact with its customers to better
understand their needs and publicise relevant products and offers. For example, easyJet™
uses its email newsletter and tailored alerts about special deals to encourage repeat flight
bookings.
The form of digital strategy developed by a company will depend on the sector and scale of
a business. Chaffey (2015) identifies different types of digital presence and each has different
objectives and functionality that are appropriate for different markets or industry sectors.
Note that these are not clear-cut categories of websites or mobile apps, since any company
may combine these types as part of its business model, but with a change in emphasis
according to the market it serves. Increasingly, companies are using dedicated mobile apps
and company pages on social networks such as Facebook, Twitter and LinkedIn to similar
purposes. As you review websites and company social presences, note how organisations
have different parts of the site focusing on these functions of sales transactions, services,
relationship-building, brand-building, and providing news and entertainment. The five main
types of site or mobile app functions are as follows.
1 Transactional e-commerce
The website, app or social network enables purchase of products or services online and is
typical in the retail, travel and financial services sectors. Transactional platforms can also
support the business by providing customer service and information for consumers who
prefer to purchase products offline.
• Visit these examples: an end-product manufacturer such as Kia™ with an online ‘Build
your Kia’ configurator (www.kia.com/uk), or an online retailer such as Zalando™
(www.zalando.com).
Chapter 1 Introducing digital marketing 17
3 Brand-building
This type of site or app provides an experience to support the brand. Products are not typi-
cally available for online purchase. The main focus is to support the brand by developing
an online experience of the brand and it is typically used for low-value, high-volume fast-
moving consumer goods (FMCG) brands for consumers.
Some of the challenges in managing digital marketing strategy that are commonly seen in
many organisations (and should be managed) include:
• There are unclear responsibilities for the many different digital marketing activities
(shown in Figure P.1 in the Preface).
• No specific objectives are set for digital marketing.
18 Part 1 Digital marketing fundamentals
• Insufficient budget is allocated for digital marketing because customer demand for online
services is underestimated and competitors potentially gain market share through supe-
rior online activities.
• Budget is wasted as different parts of an organisation experiment with using different
techniques and martech suppliers without achieving economies of scale.
• New online value propositions for customers are not developed since the internet is
treated as ‘just another channel to market’ without review of opportunities to offer
improved, differentiated online services.
• Results from digital marketing are not measured or reviewed adequately, so actions can-
not be taken to improve effectiveness.
• An experimental rather than planned approach is taken to using e-communications, with
poor integration between online and offline marketing communications.
Research by Smart Insights (2021) investigated the challenges of managing digital market-
ing. It was found that many businesses do face challenges in these areas:
• Planning. Nearly half (48 per cent) of businesses surveyed do not have a defined digi-
tal plan or strategy although they are active in digital marketing, while more than half
(63 per cent) also don’t have a clearly defined integrated marketing communications
strategy to align against.
• Organisational capabilities. Many businesses either have already introduced (27 per cent)
or were planning to introduce (35 per cent) a digital transformation programme, although
a substantial proportion (25 per cent) of businesses don’t think it’s relevant for them.
• Integration of digital channels into marketing. The survey also asked respondents
to rate the maturity of their digital marketing across the customer lifecycle on a five-
point scale. The majority of businesses were in categories 1 to 5. For example, for
achieving sales online and/or offline, 68 per cent of businesses rated themselves at a
maturity level of 1 or 2, while only 11 per cent rated themselves at the higher maturity
level of 4 or 5.
Digital disruptors Given the future importance of digital marketing and new entrants that are digital
Innovations in digital
disruptors, larger organisations have introduced digital transformation programmes to help
media, data and
marketing technology that manage these challenges. The approach has been discussed by many management consult-
enable a change to a new ing groups, for example MIT Center for Digital Business and Capgemini Consulting (2011)
basis for competition in a
market or across markets. and Solis (2014).
Disruptors are also Solis (2014) produced a visual proposing enablers and barriers to digital transformation
used to refer to startup
or existing companies
(Figure 1.4). It shows how disruptive digital technologies such as social media, mobile plat-
that, through their agility, forms and real-time marketing should be harnessed to create an effective digital customer
are good examples of experience. McKinseys’s 7Ss remain a useful framework for reviewing an organisation’s
impacting competitors
through disruption. existing and future capabilities to meet the challenges posed by the new digital channels (as
shown in Table 4.7).
To realise the benefits of digital marketing and avoid the pitfalls that we have described,
an organisation needs to develop a planned, structured approach. Consequently, this text
defines a strategic approach to digital marketing that is intended to manage these risks
and deliver the opportunities available from online channels. In Figure 1.5 we suggest a
process for creating and implementing a strategic digital marketing plan that is based
on our experience of strategy definition in a wide range of companies. This diagram
highlights the key activities and their dependencies that are involved for the creation of
a typical digital marketing strategy, and relates them to coverage in different chapters
in this text.
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would carry. He dangled his legs from the springboard and said the
red-headed fellow from Ohio didn’t stand a chance. His imagination
overcame the obstacle of non-membership and he became the voice
and spirit of the troop—his troop.
“Do you mean to tell me,” he demanded, “that they—we—I mean
they—can’t beat everybody because don’t we live in Bridgeboro
where there’s a river and we all have canoes—except a few that
haven’t?”
“They’re born with paddles in their mouths,” said a Virginia scout.
“And oars!” Pee-wee shouted.
It went to Brent Gaylong’s heart to see Pee-wee trudging down
from the Ravens’ cabin night to go to bed in the pavilion dormitory.
He might have stayed on cabin hill but only one full patrol could bunk
in a cabin. Pee-wee never questioned the camp rules or the rules of
the scout organization. “Gee whiz, they’re good rules all right,” he
said. And he never overstepped the privilege of a non-member. That
was the pathetic part of it. He watched them wistfully when they
voted, contented, happy, just to be among them.
Just in proportion as he made a pathetic picture, just in that same
proportion did Billy Simpson become more and more an object of
tolerant contempt. If he had made the little sacrifice in the matter of
the canoe it would not have been so bad, but now they were ready
enough to think ill of him, reasonably or not. And often their dislike
was without reason, for indeed he was as much a member of the
Raven Patrol as any other Raven was.
If there was any criticism in that matter Artie Van Arlen should
have borne it. It is only fair to Artie to say that from the day he
summoned Billy Simpson from Bridgeboro, he was friendly to him,
and fair to him, and seemed to believe in him. He did not study him,
as Brent might have done, because it was not given to him to do
that. But he treated him with a wholesome cheerfulness and with the
same fraternal air which characterized his demeanor toward all. If he
was disappointed he did not say so. If he had expected Billy to bring
honors, merit badges, to the patrol he renounced that hope amiably.
He was a pretty good all-around sort of a fellow, was Artie.
The camp assistant, young Mr. Slade, spoke to him one day. “You
know, Van, this is an impossible situation,” said he; “Pee-wee’s a
Raven. You’re taking liberties with nature, you fellows are.”
“It can’t be helped now,” said Artie; “besides I’m not worrying and
I’ll tell you why. Do you want to know?”
“Go ahead, shoot.”
“Pee-wee doesn’t belong to the Boy Scouts of America. The Boy
Scouts of America belong to Pee-wee. Just wait till he gets back
home. You’re not afraid he’s going to drift away, are you?”
“Well, it knocks me clean to see him,” said Slade.
“You and old Doc. Gaylong ought to camp under a weeping willow,
you’re so tender-hearted. How about the race?”
“Nothing about it,” said Slade; “except everything’s ready, and
Connie Bennett is going to win it.”
“Sure thing?”
“That’s what Pee-wee says,” said Tom. “He says we’ve won it
already.”
“Well, to-morrow’s the day,” said Artie cheerily. “Pee-wee says if
the cup gets away from us, he’ll never look Mary Temple in the face
again. But he’ll accept an ice cream soda from her.”
CHAPTER XXXI—THE SAND-BAG
The regatta was always the big event of the season at Temple
Camp. Pee-wee always had to suck lemon drops for several days
succeeding it to ease the huskiness in his throat. Sometimes he
continued sucking them for several weeks, for a scout is nothing if
not thorough.
The institution of the regatta (and the lemon drops) dated from the
season when pretty Mary Temple, daughter of the camp’s founder,
had offered the silver cup. A Rhode Island troop had won it, then it
had passed to a Pennsylvania troop, and then to the Bridgeboro
Troop. The Bridgeboro scouts took a particular pride in keeping it
because Bridgeboro was the home town of the Temples.
Each troop chose its challenger or defender by its own process of
selection, paying a certain regard to the claims of its patrols.
Naturally the merit badge for Athletics, or for Physical Development,
or for Seamanship, would imply eligibility for the honor of challenger
or defender. And these things counted in the selection.
Particularly had they counted in the selection of Connie Bennett of
the Elk Patrol for defender. How much they really counted in a race
was another question. Also, as in the selection of a presidential
candidate the claims of the states have to be considered, so in this
business the patrols had to be considered, and it was now
considered to be the Elk Patrol’s turn. Thus Connie Bennett had
been put forward.
There was no complaint about this and no anxiety, but there was
just a little undercurrent of feeling (which Pee-wee could not
browbeat out of the troop’s mind) that the cup was not quite so
secure upon its little velvet box as they could wish it to be.
A course was marked around the lake by long poles driven in
about fifteen to eighteen feet from shore. Some of them had to be
pretty long to reach the bottom. They were saved from year to year.
A heavy cord was carried around the lake caught at each of these
poles and from this cord hung troop and patrol pennants at intervals
all the way round. The whole thing made a very festive and inspiring
sight. The cup race (always a canoe event because Mary Temple
thought that canoes were scoutish, being of Indian origin) consisted
of one complete round of the lake. There were other races of course;
comic events, tub races and the like.
I wish to tell you of this thing just as it occurred for it is talked of at
Temple Camp whenever scouts get around a camp-fire. And in a
sense it has never been fully explained.
Mary Temple, with her parents, came up from Bridgeboro by auto,
reaching camp early in the afternoon. They received an ovation as
usual. Mary was exceedingly pretty and looked the more so because
of the color which the breeze had blown into her cheeks. She
reached down out of the car and shook hands merrily with Connie
Bennett and handed Pee-wee an enormous box of peanut brittle,
which caused much laughter.
“Oh, I know you, too,” she said, reaching out her hand to Billy
Simpson who lingered in the background. “I often see you in
Bridgeboro.”
Billy Simpson seemed greatly embarrassed, and he never looked
quite so much alone as he did then, for all the clamor ceased as she
shook his hand, and the throng fell back silent. There was nothing
intentional in this; it just happened that way. But one or two scouts
noticed that Simpson was more perturbed and shy than the very
commonplace little incident seemed to warrant. He just stared at
Mary Temple and did not take his eyes from her. Brent Gaylong said
afterward that there was something in his eyes, he did not know
what, but that he seemed like one possessed....
He was not seen again until the time of his destiny. A tub race
took place, a graceful affair in which all the participants fell in the
water. This was followed by a swimming race, and a couple of boat
races. Next followed a race of several canoes. And then the event of
the day.
The scout who had wriggled his way to the position of challenger
was a red-headed fellow from the Middle West. Pee-wee loathed him
for no other reason than that he dared to try for the cup.
He was lithe and slender, and had a rather attractive way of
holding his head. He looked the young athlete through and through
and there was a kind of aggressiveness about him such as to
disconcert an opponent. His troop seemed very proud of him. He did
not show off exactly, but his manner was such as to make one think
he took his victory for granted. A little deference to his opponents
would have been more becoming. Having seated himself in his
canoe and his companion being seated also, he waited at the float
with a blasé air of patience as if he were anxious to get the thing
over with.
This cut and dried assurance was in marked contrast with
Connie’s demeanor, which was modest and painfully nervous. The
throng, gathered about the float and alongshore for many yards on
either side, cheered as he stepped into his canoe and nervously
accepted the paddle that was handed him.
A silent, solitary figure in a black sweater stood upon the float
near Mr. Currie, the starter. He gazed out across the lake, seeming
very nervous. He seemed to be trying to concentrate his eyes and
thoughts on something quite removed from the scene about him.
One might have fancied something exalted, spiritual, in his aspect,
but the coarse, black sweater and rather hulking shoulders, spoiled
that.
“This your sand-bag?” Mr. Currie asked. He meant nothing
disrespectful. It was just the name used for the one going to steady
the canoe. But there was a tittering here and there in the crowd as
the figure in the black sweater stepped into the bow of Connie’s light,
bobbing little craft and sat hunched up there.
No one thought of him again. They were thinking of pleasanter
things....
CHAPTER XXXII—SOMETHING BIG
The two canoes glided forward abreast. It was a good start. A
chorus of cheers went up from the crowd near the float and was
taken up by the groups which dotted the shore for the distance of
half way round the lake.
The inner side of the course was lined with canoes and rowboats,
and even Pee-wee’s ship, the Hop-toad, had been dislodged and
floated to the cord line and anchored. A group of scouts upon it
cheered themselves hoarse. Goldenrod Cove was filled with canoes.
But the preferable stand was at the float where the race began and
would end. Here a great throng waited, and on its outskirts scouts
sprawled upon the grass, perched upon the roofs of shacks, and
crowded on the diving-board till it almost broke with their weight.
Here the judges waited. Here the string was stretched low across the
course to be snapped asunder by the gliding bow of the victor.
Across the course, at intervals, scout officials rested on their oars
and waited, watchful for violations of the rules.
The green canoe of the red-headed scout crept ahead a yard—
two yards—three yards. Connie strained every muscle and, in his
apprehension as the distance between the canoes widened, he fell
to using shorter strokes. The shorter stroke seems to keep time with
the beating heart; it looks like speed and feels like speed; it is
hustling. It is hard for the amateur to believe that calmness and the
long, mechanically steady stroke, are the only things to depend on.
“Make your stroke longer, not shorter whatever you do,” said
Simpson.
“I’ll take care of it,” said Connie, breathing heavily.
Simpson caught the rebuke and sat silent, watching
apprehensively. Connie seemed to think that his speed would be
proportioned to his frantic exertion and he was surprised to see the
distance between the two canoes widening. His spectacular efforts
were received with applause for action is what the multitude likes,
and that strengthened Connie’s confidence in his method, which was
no method at all. He gained a little (for a spurt will always accomplish
that) but he lost in fatigue what he gained in distance.
“Don’t look at him,” Simpson pled anxiously. “It would be better if
you were rowing, then you couldn’t see him. Bend way forward,
reach out your lower hand—”
“Who’s doing this?” Connie panted. “Don’t—don’t—don’t—don’t
you—you—know what you’re—you’re here for?”
The look of hurt pride on Simpson’s face turned to one of grim
disgust and accusation. He saw the green canoe a couple of lengths
ahead, and saw flags waving, heard the deafening cheers all about
him. He was not shy or fearful now.
“Can’t you guess what I’m here for?” he said, between his teeth.
“It’s so that the kid’s troop will win. It’s because I knew you’d go to
pieces. Don’t look at the crowd, you fool! Bend forward—far—”
“I—I can’t,” Connie panted, releasing one hand long enough to
press his side. The fatal kink had come, as it is pretty sure to do in
erratic striving combined with frantic fear and excitement.
“Shall I take it?” he heard.
“You?” he said, surprised. “You can’t—anyway—it—it—wouldn’t
be a race—they’d—they’d—”
In a sudden, abandoned frenzy of striving, Connie brought his
canoe within a length of the other. In its way it was a feat, but it spent
his last ounce of energy and left his side hurting as if he had been
stabbed. Encouraged by the cheering he drove his paddle into the
water with a vertical force that eased his panic fears, but had no
effect upon his progress. The canoe seemed to halt and jerk like a
balky horse.
Now he heard the deafening cheers as in a kind of trance.
“Walk away from him, Red!”
“You’re losing him! Keep it up!”
“Step on it, Red!”
“Give her the gas!”
“Let her out, Red!”
“Oh boy, watch him step!”
“All over but the shouting!”
Not quite, oh crowd. As Connie Bennett’s hand left the paddle to
press his agonized side, he felt another gently take it from him. What
next happened he felt rather than saw. He heard deafening cheers
interspersed with cries of “No fair!” And then derisive shouts and cat
calls. He felt the right side of the canoe dip until his trembling hand
which grasped the gunwale felt the cooling touch of the water.
He was conscious of a form crawling past him. He heard a voice,
hoarse and tense it seemed, urging him to move forward. It all
happened as in a vision. The shouting, the cries of surprise and
derision, sounded far away, like echoes.
He was better now, but his heart was thumping; he had almost
fainted. He saw a rowboat with an official pennant very near. He saw
canoes across the course line. He saw Billy Simpson in the stern of
the canoe; not sitting, not kneeling, but sort of crouching. He looked
strange, different....
“You can’t do that,” the man in the rowboat said.
“Let’s finish anyway,” said Simpson; “I’ll take a handicap that will
shut their mouths. After that if they want to call it off, let them do it.”
He had already grasped the paddle in a strange fashion; his left
arm seemed to be wound around it and his elbow acted as a sort of
brace. The other hand he held above his head, grasping his hat (the
ordinary scout hat) so that all might see. The shorter reach which
this one handed paddling enforced was made up by the lightning
movement of his body back and forth in the canoe. For a moment
the crowd laughed in derision. But as the white canoe of the
Bridgeboro Troop shot forward, those who hooted paused in gaping
amazement.
Now his bow was close upon his rival’s stern. Now it was abreast
of the red-headed figure. Now past it, and clear of the green bow.
The red-headed scout was too proud to complain of a one-armed
rival. And his troop comrades could not see him sheltered by any
rule or custom in the face of such a phenomenal display.
Steadily, steadily, the white canoe glided forward. The reach of the
red-headed paddler was extended. But he could not vie with that
human shuttle which worked with the monotonous steadiness of
machinery. He seemed disconcerted by the mere dull regularity of
that relentless engine just ahead of him.
BILLY SIMPSON WON THE RACE WHILE PADDLING WITH ONE HAND.
They came in sight of the float two lengths apart. The distance
increased to three lengths. The crowd went wild with excitement.
Amid a perfect panic of yells including weird calls of every patrol in
camp, the white canoe swept abreast of the float, snapped the cord
and danced along to the curving shore beyond the finish.
It was in that moment of tumult and clamor, amid the waving of
flags and scarfs, and a medley of patrol calls which made the
neighborhood seem like a jungle, that Pee-wee Harris, forgetting
himself entirely, hurled piece after piece of peanut brittle after the
receding victor, which action he later regretted and dived here and
there to recover these tribute missiles. But alas, they were gone
forever.
CHAPTER XXXIII—AND SOMETHING BIGGER
But the Mary Temple cup was safe upon its little velvet pedestal.
There was only one name upon the lips of all, now. But he heard
the shouts only in a sort of trance. He heard his name called, and it
sounded strange to him to hear his name—Billy Simpson—shrieked
by the multitude. It sounded like a different name, somehow. He
could not face them—no, he could not do that. And no one saw him.
No one saw him as he crept up through the bushes far from the
screaming, howling, clamorous, worshipping crowd. No one saw him
as he sped around the edge of camp and past Outpost Cabin where
his own name echoed against the dead, log walls. His own name! No
one saw him as he climbed up through the woods to Cabin Hill. Yes,
one person saw him. A tenderfoot scout who thought more of some
bobolink or other than of the race, saw him. He was gazing up into
the tree, a small lonely figure, when the victor, the hero, sped by. It
seemed to him that the fleeing figure spoke to him; anyway, it spoke.
“Tell her—tell her I couldn’t have done it if she hadn’t been
watching me.”
The tenderfoot scout did not know whom he was speaking of, so
no one was ever told anything. He thought the fleeing figure in the
black sweater might be a thief.
Reaching the Ravens’ cabin, the victor paused just a second, and
listened to the spent sound of the cheering down at the shore. Then
he fell to ransacking his suitcase for a writing tablet. He had no duffel
bag, for you see he was only a new scout. He had come hastily, with
heart beating high.
Upon his writing tablet he scrawled a few lines, and left the whole
tablet, with a stone for a weight, upon the stump outside. He had
stood by that stump when he had taken the scout oath. His one
frantic fear was that Brent Gaylong would amble along and show him
that what he was going to do was all wrong; call him a quitter.
A sound! No—yes! No, it was only the breeze in the quiet trees.
He gathered together his few poor belongings, then paused for a
last glimpse at the note.
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